The rally in crop prices in MY 2020/2021 coupled with government issued COVID relief payments has reduced the demand for commercial farm loans. The Kansas City Federal Reserve Bank last week released its survey data of farm lending for the first quarter; non-real estate farm loans by commercial banks were at its second lowest point in a decade and total non-real estate loans were the lowest in a decade.
Livestock loans have followed a slightly different pattern. The number of loans for feeding operations had already dropped in Q1 2020 and stayed at the same level in 2021. Other livestock operational loans are down with herd contraction. Though the value of the loans in Q1 2021 is $6.17 billion, down from $6.96 billion in Q1 2020, a...
What You Need to Know Today: President Trump claimed the ceasefire between the U.S. and Iran was over, as both sides accused one another of violating the terms of the agreement. Commercial vessels are increasingly steering clear of the Strait of Hormuz as security risks escalate following Iran...
Key Takeaways: The CME Group is launching new 90 percent Lean Beef and 50 percent Lean Beef futures and options contracts in July. There are five key factors that must be present in physical markets and futures contract specifications for futures contracts to become successful. The two l...
